Morgan Stanley: As Moody's downgrades the US rating, investors can buy US stocks on dips

Mars Finance News, on May 19, Morgan Stanley strategist Michael Wilson stated that investors should buy during the recent U.S. stock market decline triggered by the downgrade of the U.S. credit rating, as recent trade truces with some countries have reduced the likelihood of an economic recession. This strategist believes that the possibility of a market pullback is greater after Moody's downgrade of the U.S. rating, which pushed the 10-year Treasury yield above the key level of 4.5%. However, Wilson wrote in a report: "We will be buyers of this dip." Wilson noted that an encouraging sign is that the corporate earnings season seems to have ended without significant impact from trade uncertainty. He stated that even if trade data slightly weakens in the coming months, recent corporate earnings upgrades suggest further stock market gains.